WGU C201 BUSINESS ACUMEN EXAM LATEST EXAM 2025
| ALL QUESTIONS AND CORRECT ANSWERS | ALREADY
GRADED A+ | PROFESSOR VERIFIED
Business Foundations & Strategic Acumen | Key Domains: Business Environment & Globalization,
Ethical & Social Responsibility, Economics & Market Structures, Financial Statements & Ratio
Analysis, Marketing Principles & Strategy, Operations & Supply Chain Management, Human
Resource Management, Strategic Management & Planning, Information Systems, and
Entrepreneurship | Expert-Aligned Structure | Exam-Ready Format
Introduction
This structured WGU C201 Business Acumen Exam for 2025 provides 65 high-quality exam-style
questions with correct answers and rationales. It emphasizes the integration of core business
disciplines, analytical thinking for strategic decision-making, interpretation of key performance
indicators, and understanding the interconnectivity of functional areas within a modern
organization.
Answer Format
All correct answers must appear in bold and cyan blue, accompanied by concise rationales
explaining the foundational business concept, strategic implication, logical deduction based on data
or theory, and why alternative options are factually incorrect or represent poor business judgment.
Business Environment
1.
Which of the following best describes globalization?
A. The decline of international trade
B. The increasing integration of economies, cultures, and populations worldwide
,C. The rise of protectionist tariffs
D. The focus on domestic production only
B. The increasing integration of economies, cultures, and populations worldwide
Globalization refers to the interconnectedness of nations through trade, investment, technology,
and cultural exchange. It enables companies to access global markets and supply chains. Options
A, C, and D describe anti-globalization or isolationist policies.
Ethical & Social Responsibility
2.
A company donates 5% of its profits to local environmental causes. This is an example of:
A. Legal compliance
B. Corporate social responsibility (CSR)
C. Tax evasion
D. Shareholder primacy
B. Corporate social responsibility (CSR)
CSR involves voluntary actions that benefit society and the environment beyond legal
requirements. Donations to environmental causes align with CSR. Legal compliance (A) is
mandatory; tax evasion (C) is illegal; shareholder primacy (D) focuses solely on profit.
Economics
3.
In a perfectly competitive market, firms are:
A. Price makers
B. Price takers
,C. Monopolists
D. Oligopolists
B. Price takers
In perfect competition, many sellers offer identical products, so no single firm can influence
price—only accept the market price. Monopolists (C) and oligopolists (D) have pricing power;
"price makers" (A) include monopolies and oligopolies.
Financial Statements
4.
Which financial statement reports a company’s revenues, expenses, and net income over a period of
time?
A. Balance Sheet
B. Statement of Cash Flows
C. Income Statement
D. Statement of Retained Earnings
C. Income Statement
The income statement (or profit and loss statement) shows financial performance over time. The
balance sheet (A) shows financial position at a point in time; cash flows (B) track cash
movements; retained earnings (D) is a component of equity.
Marketing
5.
The “4 Ps” of marketing include all of the following EXCEPT:
, A. Product
B. Price
C. Profit
D. Promotion
C. Profit
The 4 Ps are Product, Price, Place, and Promotion. Profit is an outcome, not a controllable
marketing variable. Confusing profit with “Place” is a common error.
Operations
6.
Just-in-Time (JIT) inventory management aims to:
A. Maximize warehouse storage
B. Reduce inventory holding costs by receiving goods only as needed
C. Increase safety stock
D. Delay production cycles
B. Reduce inventory holding costs by receiving goods only as needed
JIT minimizes inventory costs by aligning raw material orders with production schedules. It
reduces waste but requires reliable suppliers. High inventory (A, C) increases costs; delaying
production (D) reduces responsiveness.
Human Resources
7.
Which HR function involves identifying the knowledge, skills, and abilities required for a job?
| ALL QUESTIONS AND CORRECT ANSWERS | ALREADY
GRADED A+ | PROFESSOR VERIFIED
Business Foundations & Strategic Acumen | Key Domains: Business Environment & Globalization,
Ethical & Social Responsibility, Economics & Market Structures, Financial Statements & Ratio
Analysis, Marketing Principles & Strategy, Operations & Supply Chain Management, Human
Resource Management, Strategic Management & Planning, Information Systems, and
Entrepreneurship | Expert-Aligned Structure | Exam-Ready Format
Introduction
This structured WGU C201 Business Acumen Exam for 2025 provides 65 high-quality exam-style
questions with correct answers and rationales. It emphasizes the integration of core business
disciplines, analytical thinking for strategic decision-making, interpretation of key performance
indicators, and understanding the interconnectivity of functional areas within a modern
organization.
Answer Format
All correct answers must appear in bold and cyan blue, accompanied by concise rationales
explaining the foundational business concept, strategic implication, logical deduction based on data
or theory, and why alternative options are factually incorrect or represent poor business judgment.
Business Environment
1.
Which of the following best describes globalization?
A. The decline of international trade
B. The increasing integration of economies, cultures, and populations worldwide
,C. The rise of protectionist tariffs
D. The focus on domestic production only
B. The increasing integration of economies, cultures, and populations worldwide
Globalization refers to the interconnectedness of nations through trade, investment, technology,
and cultural exchange. It enables companies to access global markets and supply chains. Options
A, C, and D describe anti-globalization or isolationist policies.
Ethical & Social Responsibility
2.
A company donates 5% of its profits to local environmental causes. This is an example of:
A. Legal compliance
B. Corporate social responsibility (CSR)
C. Tax evasion
D. Shareholder primacy
B. Corporate social responsibility (CSR)
CSR involves voluntary actions that benefit society and the environment beyond legal
requirements. Donations to environmental causes align with CSR. Legal compliance (A) is
mandatory; tax evasion (C) is illegal; shareholder primacy (D) focuses solely on profit.
Economics
3.
In a perfectly competitive market, firms are:
A. Price makers
B. Price takers
,C. Monopolists
D. Oligopolists
B. Price takers
In perfect competition, many sellers offer identical products, so no single firm can influence
price—only accept the market price. Monopolists (C) and oligopolists (D) have pricing power;
"price makers" (A) include monopolies and oligopolies.
Financial Statements
4.
Which financial statement reports a company’s revenues, expenses, and net income over a period of
time?
A. Balance Sheet
B. Statement of Cash Flows
C. Income Statement
D. Statement of Retained Earnings
C. Income Statement
The income statement (or profit and loss statement) shows financial performance over time. The
balance sheet (A) shows financial position at a point in time; cash flows (B) track cash
movements; retained earnings (D) is a component of equity.
Marketing
5.
The “4 Ps” of marketing include all of the following EXCEPT:
, A. Product
B. Price
C. Profit
D. Promotion
C. Profit
The 4 Ps are Product, Price, Place, and Promotion. Profit is an outcome, not a controllable
marketing variable. Confusing profit with “Place” is a common error.
Operations
6.
Just-in-Time (JIT) inventory management aims to:
A. Maximize warehouse storage
B. Reduce inventory holding costs by receiving goods only as needed
C. Increase safety stock
D. Delay production cycles
B. Reduce inventory holding costs by receiving goods only as needed
JIT minimizes inventory costs by aligning raw material orders with production schedules. It
reduces waste but requires reliable suppliers. High inventory (A, C) increases costs; delaying
production (D) reduces responsiveness.
Human Resources
7.
Which HR function involves identifying the knowledge, skills, and abilities required for a job?
